Economy/Resources - 128. page
Xinhua: Low Rate of Recycling Used Automobile Tires Is a Source of Pollution
Xinhua reported that the small and medium size tire manufacturers in Nanning Guangxi Province recently held an environmental conference. During the conference, the participants raised their concerns about the rapid increase in used automobile tires and the potential impact this has had as an environmental hazard. According to statistics that the China Rubber Industry released, in 2013, China produced 299 million used tires which weighed 10.8 million tons. That number has been increasing by 8 to 10 percent each year. By 2015, the total number of used tires reached over 300 million. The environmental concerns include increases in used tire storage space; its impact on the natural environment; and fire sensitivity, which could produce a large amount of smoke and hazardous substances. According to the article, China’s used tire recycling rate is only at 60 percent due to the fact that the manufacturers have a limited recycling and reuse capability, low profitability, and the lack of a market.
Source: Xinhua, July 11, 2016
http://news.xinhuanet.com/politics/2016-07/11/c_129133731.htm
Ministry of Commerce: China Has Been the Main Target for Anti-Dumping for 21 Consecutive Years
According to an article that Guangming Daily published, the spokesperson for the Ministry of Commerce reported that China has always been the biggest target of trade remedy investigations. The spokesperson pointed out that, since the WTO was formed in 1995, the number of investigations against China totaled 1,149. This number accounted for 32 percent of the total. China has been investigated for anti-dumping for 21 consecutive years and under countervailing investigations for 10 consecutive years. The article mentioned that recent reports from the WTO and the EU both cited the rise of trade protectionism, especially among G20 members where one-third of their trade remedy measures directly target China. The spokesperson claimed that trade protectionism does not help the world with the recovery of its economy.
Source: Guangming Daily, July 6, 2016
http://economy.gmw.cn/2016-07/06/content_20848735.htm
Caixin: June Manufacturing PMI Fell to Four-Month Low
Source: Caixin, July 1, 2016
Chinese Rating Agencies Completely Ignore Corporate Debt Risks
In China’s First Quarter, Bankruptcy Cases Surged
EU Chamber of Commerce: Nearly Half of the Members Reevaluating Investments in China
QQ Finance: The Biggest Secret in China’s Real Estate
Tencent (QQ) Finance published an article revealing the "Biggest Secret in China’s Real Estate." It is that the companies that have recently set records for the price of land purchases are actually State-Owned Enterprises (SOEs). They are doing it just to create the illusion that the real estate market is doing well. The following is from the article.
For example, two companies, China Electric Power Construction Group and Guangzhou Fangrong Real Estate Corporation bid 8.29 billion yuan (U.S. $1.3 billion) to win "A816-0060," a commercial and residential land development project in Longhua district, Shenzhen. The first company is clearly an SOE. After tracing the parent company of Guangzhou Fangrong several levels up, the owner of the second company was found to be China Sinochem, which is also an SOE.
The average purchase price per construction area was 56,781 yuan (U.S. $8,735) per square meter. Excluding general facilities that can’t be sold, it would be over 60,000 yuan per square meter for the sellable construction area. The land is not downtown; it is 12 km (8 miles) away from downtown. Residential buildings in this area currently sell at 50,000 – 75,000 yuan per square meter. It is hard to believe that the developers would be able to make a profit if they bid so high on the price of land.
Then, why would SOEs pay a record high amount to buy land?
The answer is simple. They are just collaborating with the local government to create the illusion that real estate prices will keep going up; they do it to cheat people.
China Times reported this practice back in 2014. "When the market is slow, the local government will ask SOEs to bid a high price for land purchases to create an artificially high market. To the government, the left hand pays the money to the right hand. There is no real gain or loss."
Another trick the government uses is to get a high bidding price but return a substantial amount of money back to the developer later. "Some companies may receive a return of nearly 50 percent of the purchase price. If the land was related to re-developing shantytown, the return might be 80 percent."
Source: Tencent, June 5, 2016
http://finance.qq.com/a/20160605/014662.htm